MEDIA

E-Commerce growth battle between China and India

China and India are the two major economies of the Asian region and the most populous countries in the world. China is the world’s largest online retail market, ahead of the USA, Western Europe and also India. Although China’s Internet Penetration rate is below the advanced economies, its huge total population and hence the number of online shoppers compensate for it. Nearly eight of ten connected consumers buy goods and services online. Major E-Commerce market trends include social commerce via platforms such as WeChat, cross-border shopping, and the rapid growth of online-to-offline (O2O) services. Thanks to these trends, the Chinese online retail market generates almost one-half of global online sales and the figures are projected to grow further at a double-digit rate by 2020.

However, in terms of growth potential India is one of the world`s leaders. Indian online retail sales are projected to rise several times faster than China and even outstrip other leading markets in Asia and worldwide through 2022. This growth is driven by the increase in Internet users, growing class of working, tech-savvy millennials and improving infrastructure, especially in the rural areas. Furthermore, a high adoption rate of M-Commerce also boosts the Indian online retail growth. More than two-thirds of Indian online shoppers have several shopping apps on their smartphones.